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Federal Circuit Affirms Exclusion Of Damages Expert’s Royalty Rate Opinions
08/31/2021
On August 26, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an order affirming orders from the United States District Court for the Northern District of California excluding certain opinions of plaintiff’s damages expert. MLC Intellectual Property LLC v. Micron Technology Inc., __ F.3d __ (Fed. Cir. August 26, 2021). In its decision, the CAFC let stand the district court judge’s orders precluding plaintiff’s damages expert from characterizing certain license agreements as supporting his reasonable royalty rate determination.
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District Of Delaware Finds Patent Claims To Be Patent Ineligible Under Section 101
08/26/2021
On August 12, 2021, the United States District Court for the District of Delaware issued an opinion granting plaintiff Microsoft Corporation’s (“Microsoft”) motion for judgment on the pleadings related to infringement counterclaims brought by SynKloud Technologies, LLC (“SynKloud”). SynKloud Techs. LLC v. HP, Inc., et al., No. 19-1360-RGA (D. Del. Aug. 12, 2021). The Court ruled that the patents at issue related to the patent-ineligible abstract idea of “requesting an institution to obtain data from remote locations and to store that data in storage space assigned to a specific user.”
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Eastern District Of Texas Finds Patent Unenforceable Due To Prosecution Laches
08/19/2021
On August 5, 2021, Judge Gilstrap of the U.S. District Court for the Eastern District of Texas issued a Memorandum Opinion and Order Supported by Findings of Fact and Conclusions of Law regarding defendant Apple’s counterclaim for prosecution laches. Personalized Media Communications, LLC v. Apple, Inc., No. 2:15-cv-01366-JRG, slip op. (E.D. Tex. Aug. 5, 2021). Judge Gilstrap found and declared the asserted patent unenforceable under the doctrine of prosecution laches. In doing so, Judge Gilstrap overturned a $308.5 million jury verdict.
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Federal Circuit Grants Writ Of Mandamus Ordering Transfer Of Venue Based On Convenience
08/10/2021
On August 2, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) granted a petition for a writ of mandamus ordering the United States District Court for the Western District of Texas to transfer the underlying action to the Central District of California. In re Hulu, LLC, __ F.3d __ (Fed. Cir. Aug. 2, 2021).
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District Court Limits Expansion Of IPR Estoppel Law
08/03/2021
On July 21, 2021, the United States District Court for the Eastern District of Texas, Marshall Division, denied plaintiff’s motion for summary judgement that its patent was not invalid due to inter partes review (“IPR”) estoppel pursuant to 35 U.S.C. § 315(e)(2). General Access Solutions, Ltd. v. Sprint Spectrum LLC, 2-20-cv-00007 (Robert W. Schroeder, III).
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Federal Circuit Denies Petition To Transfer Case Out Of Western Texas
07/28/2021
On July 13, 2021, the Court of Appeals for the Federal Circuit (CAFC) issued an order denying a petition for a writ of mandamus to the United States District Court for the Western District of Texas, No. 6:20-cv-00622-ADA, Judge Alan D. Albright, directing transfer. In re: TCO AS, __ F.3d __ (Fed. Cir. July 13, 2021). In its order, the CAFC let stand Judge Albright’s decision denying Petitioner’s motion to transfer.
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Federal Circuit Finds District Court’s Element-By-Element Infringement Pleading Standard Overly Demanding
07/20/2021
On July 13, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) affirmed in part, reversed in part, and remanded appellant Bot M8 LLC’s (“Bot M8”) appeal of several underlying orders related to the dismissal of its patent infringement action against Sony Corporation of America (“Sony”). Bot M8 LLC v. Sony Corporation of America, ___ F.3d ___ (Fed. Cir. July 13, 2021). The CAFC clarified that while a plaintiff need not plead infringement on an element-by-element basis, reciting claim elements and merely concluding that the accused products have those elements is insufficient.
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District Of Delaware Denies Motion To Preclude Plaintiff From Asserting At Trial Patent Claims Found Unpatentable By The US Patent Office’s Patent Trial And Appeal Board
07/13/2021
On July 6, 2021, Judge Noreika of the United States District Court for the District of Delaware issued an Order denying defendant’s motion in limine to preclude plaintiff from asserting claims of a patent that were found unpatentable by the Patent Trial and Appeal Board (PTAB) of the United States Patent and Trademark Office in an inter partes review. TrustID, Inc. v. Next Caller Inc., Slip. Op. (D. Del. July 6, 2021). The Court determined that plaintiff was not collaterally estopped.
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Federal Circuit Grants Writs Of Mandamus Ordering Transfer Of Venue
07/07/2021
On June 30, 2021, the Court of Appeals for the Federal Circuit (CAFC) granted petitions for writs of mandamus ordering the United States District Court for the Western District of Texas to transfer the underlying actions to the Northern District of California. In re Samsung Elecs. Co., LTD, __ F.3d __ (Fed. Cir. June 30, 2021).
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District Court Awards Fees And Costs Incurred In District Court Patent Litigation, Related USPTO CBM Proceedings, And Related Appeals
06/29/2021
On June 21, 2021, the United States District Court for the Southern District of California awarded defendants’ fees and costs pursuant to 35 U.S. Code § 285 for work performed in defending against claims of patent infringement in district court, and more significantly, also awarded defendants’ fees and costs for a related appeal, the related Covered Business Method (“CBM”) proceedings, and an appeal of the CBM proceedings. Ameranth, Inc. v. Domino's Pizza, LLC et. al., 3-12-cv-00733.
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Internet Sales To Forum Residents Processed By Forum-Based Payment Processing Service Not Enough To Establish Personal Jurisdiction Over Retailer
06/22/2021
On June 7, 2021, Judge Christina A. Snyder of the United States District Court for the Central District of California granted defendant’s motion to dismiss plaintiff’s complaint for lack of personal jurisdiction. Trustee of the Summers Family Trust TA Neak Products Buff WA Pty, Ltd v. National Distribution Warehouse, Inc. d/b/a Teacher's Choice, case no. 2:20-cv-10741-CAS-Ex. Judge Snyder specifically found that plaintiff had not carried its burden to establish purposeful direction targeted at California or a nexus to a forum-related activity.
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Federal Circuit Vacates And Remands District Court’s Finding Of No Prosecution Laches Related To “GATT Bubble” Patent Applications
06/08/2021
On June 1, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) vacated-in-part and remanded a ruling from the U.S. District Court for the District of Columbia related to prosecution laches. Hyatt v. Hirshfeld, --- F.3d --- (Fed. Cir. June 1, 2021). The CAFC determined that the appellant, U.S. Patent and Trademark Office (“PTO”), met its burden to prove prosecution laches, and remanded to the district court to determine whether appellee Gilbert Hyatt had a legitimate reason to excuse his prosecution delay.
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Western District Of Texas Grants Motion To Transfer Venue On Section 1404 Convenience Grounds
06/02/2021
On May 21, 2021, Judge Alan D. Albright of the United States District Court for the Western District of Texas granted a motion to transfer venue under 28 U.S.C. § 1404. 10Tales, Inc. v. TikTok Inc., Case No. 6:20-cv-00810-ADA (W.D. Tex. May 21, 2021). The Court found that, under Fifth Circuit precedent, the Northern District of California was a “clearly more convenient” forum.
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Federal Circuit Reverses District Court’s Dismissal Of Declaratory Judgment Action For Lack Of Personal Jurisdiction
05/26/2021
On May 12, 2021, the Court of Appeals for the Federal Circuit (CAFC) issued an opinion reversing the decision of the U.S. District Court for the Northern District of California dismissing, for lack of personal jurisdiction, a declaratory judgment noninfringement action. Trimble Inc. v. PerDiemCo LLC, __ F.3d __ (Fed. Cir. May 12, 2021).
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Federal Circuit Finds Accused Infringer’s Reference To Covid-19 Fight Insufficient To Undo Invalidity Verdict
05/18/2021
On May 11, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion affirming a judgement of the United States District Court for the District of Delaware finding all asserted claims of appellant’s patents on DNA-sequencing technology invalid and denying appellant’s motion for a new trial. Pac. Biosciences of Cal., Inc. v. Oxford Nanopore Techs., Inc., __ F.3d __ (Fed. Cir. May 11, 2021). In its decision, the CAFC upheld a jury verdict finding the asserted claims invalid under 35 U.S.C. § 112 for lack of enablement, and affirmed the district court’s decision that appellee’s opening statement respecting the impact of the trial on the fight against Covid-19 did not warrant a new trial.
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Federal Circuit Affirms Setting Aside Patent Award Where Patentee’s President Misrepresented His Knowledge Of Material Prior Art
05/11/2021
On May 5, 2021, the Court of Appeals for the Federal Circuit (CAFC) upheld a decision of the United States District Court for the Central District of California setting aside a judgment and injunction pursuant to Federal Rule of Civil Procedure 60(b)(3). Cap Export, LLC v. Zinus, Inc., ___ F.3d ___, (Fed. Cir. May 5, 2021). The CAFC found that the district court did not abuse its discretion in granting a motion to vacate the judgment under Rule 60(b)(3) where the patentee’s president and expert witness misrepresented his knowledge of highly material prior art in his deposition.
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Eastern District Of Texas Grants Opposition To Enhanced Damages In “Garden-Variety” Patent Case
05/04/2021
On April 22, 2021, the United States District Court for the Eastern District of Texas granted defendants’ motion opposing enhanced damages under 35 U.S.C. § 284. Wapp Tech Ltd. Partnership v. Seattle Spinco, Inc., No. 4:18-cv-469 (E.D. Tex. Apr. 22, 2021). The Court found plaintiffs’ argument that defendants did not present a good faith defense unpersuasive, and instead ruled that the case “was a ‘garden-variety’ patent case, rather than an egregious case of misconduct.”
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Federal Circuit Grants Another Petition For Mandamus Ordering Judge To Transfer A Case Out Of The Western District Of Texas On Convenience Grounds
04/28/2021
On April 20, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an order granting a petition for a writ of mandamus directing Judge Alan D. Albright of the U.S. District Court for the Western District of Texas (“WDTX”) to transfer a case to the U.S. District Court for the Southern District of Florida (“SDFL”), pursuant to 28 U.S.C. § 1404(a). In re TracFone Wireless, Inc., __ F. App’x __ (Fed. Cir. April 20, 2021). The CAFC found that Judge Albright clearly abused his discretion when, in denying TracFone’s motion to transfer, he found that SDFL was not a clearly more convenient forum to litigate the case between the parties.
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Federal Circuit Affirms PTAB’s Non-Obviousness Decision Due To Lack Of Motivation To Combine
04/20/2021
On April 13, 2021, the Court of Appeals for the Federal Circuit (CAFC) issued an opinion affirming the decision of the U.S. Patent and Trademark Office’s Patent Trial and Appeal Board (PTAB), finding that the claims of the challenged patent had not been proved obvious because the petition for inter partes review (IPR) failed to show that there would have been a motivation to combine the two allegedly invalidating prior art references. Apple Inc. v. INVT SPE LLC, —F.3d — (Fed. Cir. Apr. 13, 2021).
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Supreme Court Finds Copying Of Computer Code A Fair Use
04/13/2021
On April 5, 2021, the Supreme Court of the United States issued an opinion reversing a decision by the Court of Appeals for the Federal Circuit (CAFC) that had found Google liable for copying elements of Oracle’s Java computer code. Google LLC v. Oracle Inc., No. 18-956, 593 U.S. ____ (2021). According to the Court, Google’s copying, which was limited to only those lines of code needed to enable Java programmers to create new and transformative programs, was a fair use as a matter of law.
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Federal Circuit Affirms PTAB’s Rejection Of Claims Directed To More Accurate Genetic Data Interpretation As Patent Ineligible
04/06/2021
On March 25, 2021, the U.S. Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion affirming a ruling of the Patent Trial and Appeal Board (“PTAB”) finding patent claims directed to methods of interpreting genetic data to be patent ineligible. In re Bd. of Trs. of the Leland Stanford Junior Univ., --- F.3d --- (Fed. Cir. Mar. 25, 2021). The CAFC found that the rejected claims are drawn to patent-ineligible abstract mathematical calculations and statistical modeling, and that the claim limitations do not establish an inventive concept sufficient to transform such subject matter into patentable subject matter.
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United States District Court Finds That A Retail Store Operating Under Assumed Name Was Defendant’s Established Place of Business
03/31/2021
On March 11, 2021, Judge Alan D. Albright of the United States District Court for the Western District of Texas denied defendant’s motion to dismiss for improper venue or to transfer pursuant to 28 U.S.C. § 1404. Precis Group, LLC, v. Tracfone Wireless, Inc., 6-20-CV-00303 (W.D. Tex. Mar. 11, 2021). The Court found that a retail store operating in the district under an assumed name was defendant’s established place of business, and therefore sufficient to establish venue.
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Federal Circuit Affirms PTAB’s Decision Related To Estoppel Over IPR Joined Parties And Obviousness
03/17/2021
On March 9, 2021, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion affirming estoppel and obviousness rulings by the U.S. Patent and Trademark Office’s Patent Trial and Appeal Board (“PTAB”). Uniloc 2017 LLC v. Facebook Inc., ___ F.3d ___ (Fed. Cir. March 9, 2021). The CAFC ruled that it had jurisdiction to review the PTAB’s decision as to estoppel related to the inter partes review (“IPR”) estoppel provision of Section 315(e)(1). The CAFC further ruled that a joined party to a first IPR was not barred from maintaining review of claims that the primary challenger became estopped from challenging based on a decision in a second IPR to which the challenger was joined.
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Federal Circuit Holds “User Identification Module” Is A Means-Plus-Function Term And Invalid As Indefinite For Failing To Disclose Corresponding Structure
03/09/2021
On March 2, 2021, the Court of Appeals for the Federal Circuit (CAFC) issued an opinion reversing the district court’s conclusion that a claim was not invalid as indefinite. Rain Computing, Inc. v. Samsung Elecs., Am., Inc., __ F.3d __ (Fed. Cir. Mar. 2, 2021). The CAFC held that the claim term, “user identification module,” was a means-plus-function limitation under 35 U.S.C. § 112 ¶ 6, and invalid as indefinite for failure to disclose corresponding structure (here, an algorithm).
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Federal Circuit Affirms PTAB’s Substitution-Based Obviousness Decision Related to Refrigerant Mixture
03/02/2021
On February 24, 2021, the Court of Appeals for the Federal Circuit (CAFC) issued an opinion affirming the obviousness decision of the U.S. Patent and Trademark Office’s Patent Trial and Appeal Board (PTAB). Daikin Indus., LTD v. The Chemours Co. FC, LLC, __ F.3d __ (Fed. Cir. Feb. 24, 2021). The CAFC found that the petition for inter partes review (IPR) properly set forth a substitution-based theory of obviousness and that the PTAB’s substitution analysis was supported by substantial evidence.
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Federal Circuit Finds Claim Terms “Computer” And “Passive Link” Indefinite
02/23/2021
On February 10, 2021, the Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion affirming a decision by the United States District Court for the District of Delaware, invalidating all asserted claims of appellant’s four related patents under 35 U.S.C. § 112. Infinity Computer Products v. Oki Data Americas Inc., __ F.3d __ (Fed. Cir. Feb. 10, 2021). In its decision, the CAFC ruled that the asserted claims were rendered indefinite by conflicting statements made by appellant during prosecution of the asserted patents.
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Plaintiff’s Refusal To Articulate A Hypothetical Claim Warrants Summary Judgment Of Noninfringement Under The Doctrine Of Equivalents
02/11/2021
On January 28, 2021, the U.S. District Court for the Northern District of California (NDCA) issued an order granting summary judgment of noninfringement under the doctrine of equivalents. Fluidigm Corp. v. IONpath, Inc., Case No. 3:19-cv-05639-WHA, Dkt. No. 210 (N.D. Cal. Jan. 28, 2021). The NDCA found that the patentee “abdicated” its burden under the doctrine of equivalents by refusing to engage in the hypothetical claim analysis required under defendant’s ensnarement defense.
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United States District Court Strikes Patentee’s Expert’s Testimony That Contradicted The Patentee’s Statements Made In A Vacated Reexamination Proceeding
02/03/2021
On January 21, 2021, the United States District Court for the Western District of Pennsylvania adopted the report and recommendation of the special master recommending the court grant defendant’s motion to exclude options set forth in an expert report prepared on behalf of patentee-plaintiff, because those opinions were contradicted by patentee-plaintiff’s statements to the patent office made during reexamination of the at-issue patent.
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Central District Of California Finds Marking Of Product Packaging Insufficient Under 35 U.S.C. § 287.
01/26/2021
On January 6, 2021, Judge James V. Selna of the United States District Court for the Central District of California granted, in part, defendant Feit Electric Co., Inc.’s (“Feit”) motion for partial summary judgment related to plaintiff Zadro Prods, Inc.’s (“Zadro”) alleged failure to properly mark certain products. Zadro Prods, Inc. v. Feit Electric Co., Inc., Case No. SACV-20-101-JVS (C.D. Cal. Jan. 6, 2021). Judge Selna found that: (1) Zadro’s alleged failure to disclose that it marked its products in a discovery response was not grounds for summary judgment; (2) an issue of material fact remained as to whether Zadro’s products practiced one of the patents in suit; and (3) Zadro’s marking of the packaging of its products which practiced one of the patents in suit (rather than the products themselves) was insufficient under 35 U.S.C § 287.
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Judge Alsup Partially Grants Section 285 Request For Attorneys’ Fees Due To Exceptional Nature Of Case, Lamenting “Standard Patent BS By Bought-And-Paid-For Experts”
01/20/2021
On January 9, 2021, Judge Alsup of the U.S. District Court for the Northern District of California granted, in part, a request for attorneys’ fees to the prevailing defendant. Finjan, Inc. v. Juniper Network, Inc., case no. C 17-05659 (N.D. Cal. Jan. 9, 2021). Judge Alsup found that plaintiff’s case stood out as exceptional in certain respects and, accordingly, issued a limited award for attorneys’ fees under 35 U.S.C. § 285.
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Federal Circuit Finds Video Signal Conversion Claims Patent Ineligible
12/22/2020
On December 14, 2020, the Court of Appeals for the Federal Circuit (CAFC) affirmed a decision by the United States District Court for the Central District of California holding all asserted claims of appellant’s ’305 patent ineligible under 35 U.S.C. § 101. Adaptive Streaming Inc. v. Netflix, Inc., __ F.3d __ (Fed. Cir. December 14, 2020). The CAFC concluded that the district court correctly found that the claims were directed to an abstract idea and lacked any inventive concept, and that dismissal of appellant’s complaint under Rule 12(b)(6) was proper.
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UK Defendant’s Interactive Website Insufficient To Establish Personal Jurisdiction In Texas
12/15/2020
On December 8, 2020, the U.S. District Court for the Eastern District of Texas (EDTX) unsealed its November 30, 2020, order granting dismissal without prejudice for lack of personal jurisdiction. TriOptima AB v. Quantile Techs. Ltd., Case No. 2:19-cv-00390-JRG, Dkt. No. 154 (E.D. Tex. Dec. 8, 2020); TriOptima AB v. Quantile Techs. Ltd., Case No. 2:19-cv-00390-JRG, Dkt. No. 149 (E.D. Tex. Nov. 30, 2020). The EDTX found that the United Kingdom-based defendant was not subjected to specific personal jurisdiction in Texas by providing financial services that can affect Texas interests through a secure customer portal website.
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U.S. District Court For The Northern District of Illinois Finds Patent Claims Related To HIV DNA Replication To Be Patent Eligible Under Section 101
12/08/2020
On December 1, 2020, the United States District Court for the Northern District of Illinois issued an opinion denying plaintiff Abbott Laboratories’ motion to dismiss infringement counterclaims brought by defendants Grifols Diagnostic Solutions Inc., Grifols Worldwide Operations Ltd., and Novartis Vaccines and Diagnostics, Inc. Abbott brought a declaratory judgment action against defendants asserting that U.S. Patent No. 7,205,101 (“the ’101 patent”) is invalid. Defendants filed a counterclaim asserting that Abbott infringes claim 7 of the ’101 patent. Abbott moved to dismiss the counterclaim on the basis that claim 7 is invalid as a matter of law under 35 U.S.C. § 101 because it is directed to a patent-ineligible natural phenomenon.
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PTAB Denies IPR Institution Due To Co-Pending ITC Investigation
11/24/2020
On November 18, 2020, the U.S. Patent and Trademark Office’s Patent Trial and Appeal Board (PTAB) denied institution of a petition for inter partes review (IPR). Google LLC v. EcoFactor Inc., case no. IPR2020-00946 (PTAB Nov. 18, 2020). In its decision, the PTAB exercised its discretion under 35 U.S.C. § 314(a) to deny institution because of a co-pending investigation before the International Trade Commission (ITC) involving the challenged patent.
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Federal Circuit Articulates Rule Clarifying Relationship Between “Printed Matter” Doctrine And “Subject Matter Eligibility” Under Alice
11/17/2020
On November 10, 2020, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion reversing-in-part the invalidity judgment of the United States District Court for the District of Delaware, as it pertained to patent eligibility, and vacating its remaining infringement, willfulness, and prior art invalidity findings. C.R. Bard Inc. et al. v. Angiodynamics, Inc., __ F.3d __ (Fed. Cir. Nov. 10, 2020).
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Federal Circuit Denies Petition For Writ Of Mandamus Requesting It Vacate The District Court’s Spoliation-Based Sanctions Order
11/10/2020
On Tuesday, November 3, 2020, the Court of Appeals for the Federal Circuit (CAFC) denied a petition for a writ of mandamus requesting the CAFC vacate the United States District Court for the Central District of California’s (C.D. Cal.) order granting an adverse inference instruction in connection with Ivantis Inc.’s failure to preserve relevant evidence for litigation. In re Ivantis, Inc., F.3d __, (Fed. Cir. Nov. 3, 2020). The CAFC found no reason to depart from the usual practice of waiting until after final judgment to review the C.D. Cal.’s order.
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Federal Circuit Vacates Ruling From Bench On Patent Eligibility As Insufficient To Enable Appellate Review
11/03/2020
On October 23, 2020, the Court of Appeals for the Federal Circuit (CAFC) issued an opinion vacating and remanding a bench ruling of the United States District Court for the District of Delaware holding all 159 claims in five asserted patents ineligible under 35 U.S.C. § 101. Realtime Data LLC v. Reduxio Systems, Inc., __ F.3d __ (Fed. Cir. October 23, 2020). In its decision, the CAFC concluded that the district court’s analysis of patent eligibility under Section 101 was too cursory to allow for meaningful appellate review, and directed the district court to consider the issue further and elaborate on its reasoning.
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Northern District Of California Finds Importation Of Medical Device Samples Protected Under The Section 271(e)(1) Safe Harbor
10/27/2020
On October 16, 2020, the United States District Court for the Northern District of California issued an order granting summary judgment of noninfringement under 35 U.S.C. § 271(e)(1). Edwards Lifesciences Corp. v. Meril Life Sciences Pvt. Ltd. , Case No. 4:19-cv-06593-HSG, Dkt. No. 98 (N.D. Cal., Oct. 16, 2020). The Court found that defendant’s importation of samples into the United States for conducting preclinical investigations and for intended demonstrations at a clinical conference were exempt from patent infringement liability, regardless of whether there was a commercial purpose underlying such conduct.
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Northern District Of Illinois Uses Collateral Estoppel To Find Patents Invalid Based On PTAB’s Unpatentability Rulings On Similar Patents
10/20/2020
On October 8, 2020, Judge Andrea R. Wood of the United States District Court for the Northern District of Illinois denied plaintiff Think Product, Inc.’s motion to reconsider a finding of patent invalidity. Think Products, Inc. v. Acco Brands Corp. and Acco Brands, USA LLC, No. 18-cv-07506 (N.D. Ill. Oct. 8, 2020). The Court had previously granted defendants Acco Brands Corporation’s and Acco Brands, USA LLC’s motion for summary judgment invalidating two patents based on collateral estoppel arising from rulings by the Patent Trial and Appeal Board (“PTAB”) invalidating for obviousness two similar patents.
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PTAB Institutes IPR Over Patent Owner’s Section 325(d) Argument That The Same Art And Arguments Were Already Considered By The Patent Office
10/13/2020
On October 6, 2020, the U.S. Patent and Trademark Office’s Patent Trial and Appeal Board (PTAB) instituted an inter partes review (IPR) proceeding, rejecting Patent Owner’s argument that the PTAB should exercise its discretion under 35 U.S.C. § 325(d) to deny institution because the same prior art and arguments were before the Patent Office Examiner during original prosecution. Sony Interactive Entertainment LLC v. Bot M8, LLC, Case No. IPR2020-00726 (PTAB Oct. 6, 2020). In doing so, the PTAB agreed with Petitioner that the Examiner overlooked a reference’s teaching.
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Federal Circuit Affirms PTAB’s Claim Construction, Despite Recitation Of Incorrect Legal Standard, And Concludes That Substantial Evidence Supports Its Unpatentability Findings
10/08/2020
On September 30, 2020, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion affirming the decision of the U.S. Patent and Trademark Office’s Patent Trial and Appeal Board (“PTAB”), finding certain challenged claims unpatentable under the PTAB’s claim construction of “low-power radio frequency signal,” and finding that substantial evidence supports the PTAB’s underlying factual findings relating to the challenged claims. Emerson Electric Co. v. SIPCO, LLC, __ F.3d __ (Fed. Cir. Sept. 30, 2020).
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Federal Circuit Limits Scope Of IPR Estoppel, And Vacates Claim Construction That Was Based On Expert Testimony
09/29/2020
On September 24, 2020, the Court of Appeals for the Federal Circuit (CAFC) issued an opinion affirming-in-part, reversing-in-part, vacating, and remanding a final judgment of the United States District Court for the Eastern District of Texas that Appellant’s patent claims are not infringed; that Cross-appellant is estopped from raising certain validity challenges based on its joinder to an inter partes review (“IPR”) before the Patent Trial and Appeal Board (“PTAB”); and that asserted claim 6 was not improperly broadened during reexamination. Network-1 Technologies, Inc. v. Hewlett-Packard Co., __ F.3d __ (Fed. Cir. Sept. 24, 2020). In its decision, the CAFC vacated the district court’s judgment of non-infringement as based on incorrect claim construction, vacated the district court’s judgment as a matter of law (“JMOL”) on validity for improperly applying statutory estoppel, and affirmed the district court’s decision with respect to improper claim broadening.
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Northern District Of California Holds Claims Invalid, Finding Them Not Directed To A Patent-Eligible Category, And Moreover Directed To An Abstract Idea
09/22/2020
On September 10, 2020, the United States District Court for the Northern District of California granted a motion to dismiss allegations of patent infringement pursuant to 35 U.S.C. § 101. FullView, Inc. v. Polycom, Inc., No. 18-CV-00510-EMC, 2020 WL 5430309 (N.D. Cal. Sept. 10, 2020). The district court found that the at-issue claims were ineligible for two reasons. First, the claims were not directed to a patent-eligible category under Section 101. Second, the claims were directed to the abstract idea of combining multiple pictures to create one larger picture without offering an inventive concept, as required under the two-step test in Alice Corp. Pty. v. CLS Bank Int’l, 573 U.S. 208 (2014).
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ITC Suspends Enforcement Of Remedial Orders Pending Appeal Of IPR Final Written Decision
09/15/2020
On September 8, 2020, the United States International Trade Commission (“ITC”) issued an opinion suspending enforcement of remedial orders pending appeal of the Patent Trial and Appeals Board’s (“PTAB”) final written decision (“FWD”) of unpatentability in a parallel inter partes review (“IPR”) proceeding. Certain Unmanned Aerial Vehicles and Components Thereof, Inv. No. 337-TA-1133, Comm’n Op. (Sept. 8, 2020); Certain Unmanned Aerial Vehicles and Components Thereof, Inv. No. 337-TA-1133, Final Determination (Aug. 20, 2020). In its opinion, the ITC relied on its broad discretion in selecting a remedy, its recognition of the PTAB’s leading role in assessing the validity of patent claims, and Congress’s goal for IPRs to be a substitute for litigation on patent validity issues.
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Federal Circuit Reverses District Court’s Claim Construction Due To Improper Reading Of Intrinsic Evidence
09/09/2020
On August 27, 2020, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion reversing the decision of the United States District Court for the District of Delaware dismissing plaintiff Baxalta Inc.’s (“Baxalta”) infringement suit against Genetech, Inc. (“Genentech”). Baxalta Inc. v. Genentech, Inc., __ F.3d __ (Fed. Cir. Aug. 27, 2020).
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Patent Office Issues Binding Memorandum Concerning Use Of Applicant Admitted Prior Art In Inter Partes Review Proceedings
09/01/2020
On August 18, 2020, Director Iancu of the U.S. Patent and Trademark Office (“USPTO”) issued a Memorandum entitled “Treatment of Statements of the Applicant in the Challenged Patent in Inter Partes Reviews Under § 311.” The Memo provides binding guidance concerning the USPTO’s view of the use of “applicant admitted prior art” (referred to as “AAPA” or “APA,” for short) by a petitioner to support a patentability challenge in an inter partes review (“IPR”).
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Federal Circuit Affirms District Court’s Dismissal Of Declaratory Judgment Suit Challenging The Constitutionality Of Retroactive Application Of Inter Partes Review
08/25/2020
On August 20, 2020, the United States Court of Appeals for the Federal Circuit (“CAFC”) issued an opinion affirming the decision of the U.S. District Court for the Northern District of California dismissing plaintiff-appellant Security People, Inc.’s suit under the Administrative Procedure Act (“APA”) challenging the constitutionality of the cancellation of its patent in an inter partes review proceeding (“IPR”). Security People, Inc. v. Iancu, __ F.3d __ (Fed. Cir. Aug. 20, 2020).
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Doctrine Of Equivalents Cannot Be Used To Extend Patent Claims To Cover Software Where Claims Require A Physical Component
08/18/2020
On August 3, 2020, Judge Alan Albright of the United States District Court for the Western District of Texas granted defendants’ motion for judgment on the pleadings that plaintiff was barred from asserting infringement by defendants’ smartphone applications. Lighthouse Consulting Group, LLC v. BB&T Corp., No. 6-19-CV-00594-ADA.
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Federal Circuit Directs Transfer Of Patent Suit From Western District Of Texas To Northern District Of California
08/04/2020
On Friday, July 28, 2020, the United States Court of Appeals for the Federal Circuit (“CAFC”) directed the United States District Court for the Western District of Texas (W.D. Tex.) to grant Adobe Inc.’s (“Adobe”) motion to transfer pursuant to 28 U.S.C. § 1404(a) to the United States District Court for the Northern District of California (N.D. Cal.). In re: Adobe Inc., F.3d __, (Fed. Cir. Jul. 28, 2020). The CAFC found that the court (i) did not properly accord weight to convenience of the transferee forum; (ii) overlooked that the willing witness factor favored transfer; and (iii) “ran afoul of governing precedent in giving dispositive weight to its ability to more quickly schedule a trial.” The CAFC ultimately held that “the district court’s denial of transfer here was a clear abuse of discretion.”
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Federal Circuit Holds That Patent Owner’s Substitute Claims Presented During IPR Are Subject To A Full Examination
07/28/2020
On July 22, 2020, the Court of Appeals for the Federal Circuit (CAFC) affirmed the Patent Trial and Appeal Board’s (PTAB) denial of a rehearing on a motion to amend the claims of a patent challenged in an inter partes review (IPR). Uniloc 2017 LLC v. Hulu, LLC & Netflix, Inc., No. 19-1686, __ F.3d __ (Fed. Cir. Jul. 22, 2020). The CAFC held that the PTAB may consider any ground of unpatentability—not just anticipation or obviousness grounds based on patents or printed publications under Section 311(b)—when considering the patentability of substitute claims during an IPR.